16 Oct, 2017 - CMA CGM opens 20,000 square metres of warehousing in Lebanon
The CMA CGM group has opened the first logistics storehouse in Lebanon, located in Bekaa Valley in Taanayel.
The move is part of the group's strategy to offer bespoke logistics solutions to their reefer customers in the richest agricultural, commercial and industrial region of Lebanon.
With a total area of 20,000 square metres, the new logistics storehouse can store up to 1,000 empty TEU. The new facility will enable the group to respond to requests for import/export shipments from Lebanon's largest agricultural area, reported the American Journal of Transportation.
This logistics solution also facilitates the recovery of empty containers, thus reducing costs and saving considerable time.
"CMA CGM is constantly innovating its service offerings for the Lebanese market, and the opening of the new Taanayel dry port brings us closer, creating new opportunities to serve our Bekaa clients," said CMA CGM Lebanon general manager Joe Dakkak.
"We have always believed in our country's potential, and this new investment is a true example of our faith in Lebanon's economic development," he said.
Fifty kilometres from Beirut and 124 kilometres from Tripoli, the Taanayel warehouse is at the crossroads of the Lebanese coast and Damascus - one of the most important trade routes in the Middle East.
CMA CGM's Beirut office employs 200 people.
THOUSANDS of factories across China face closure under Beijing's anti-pollution drive. The shuttering of polluting factories is viewed by some in the supply chain sector as a move to push manufacturers of low value goods out of China.
"The sentiment is that these heavy polluters mainly make low value items and China is willing to allow these industries to move out of China and to India, Cambodia, etc," international director and co-chairman of the AmCham Shanghai Supply Chain Committee, Gary Huang, was quoted as saying in a report by IHS Media.
The tough enforcement of regulations enacted in 2013 is being carried out by China's Ministry of Environmental Protection. This action has already shut down thousands of factories in the north of the country. The inspectors have now switched their focus to auditing manufacturers in the southern provinces.
"We understand that Guangzhou will be under review later in the fourth quarter and going into 2018. I suggest [shippers] talk to their suppliers and be vigilant about monitoring this process. And also have a contingency plan," said Mr Huang.
Sources in China report that governmental environmental inspection efforts started to move from northern China to central China in the third week of September. "We believe this will create an impact on Ningbo shipping volumes as there are numerous small manufacturers involved in producing lower end consumer articles of all sorts," a supply chain expert was cited as saying.
He said the factory audits would scrutinise businesses involved in decorative home products, such as Christmas ornaments, as well as manufacturers involved in producing electric circuit boards. Some of the closed north China factories were expected to resume production by mid-October, after China's Golden Week holiday, but there has been little clarity on the issue.
The factory closures are spread across China's main manufacturing areas, from Jilin province in the north to Zhejiang province south of Shanghai, with increasing focus on the giant inland cities of Chongqing and Chengdu. Guangzhou factories are next on the radar of the Ministry of Environmental Protection's crackdown as inspectors begin to turn southwards.
Low value cargo is transported by ocean, and the factory closures were having an impact on container volume being exported from China, according to an APL spokesperson. He said this was particularly apparent for north China exports.
Kuehne + Nagel also said they were "clearly" seeing a decline in container volume being exported from China, particularly in the north of the country.
PAKISTAN's first deep-water container terminal, Hutchison Ports Pakistan, has breached the nation's vessel handling record for the fourth time this year as the terminal operator achieved the milestone, handling 2,683 moves in just over 13 hours on the 8,562-TEU vessel Hyundai Courage.
During the vessel's stay, the terminal achieved a vessel operating rate of 203.4 container moves per hour and a gross crane rate of 32.3. During the call, a total of 3,501 TEU were handled, the Daily Times of Lahore reported.
The terminal operator improved its record of 1,953 moves in just 11 hours, achieved on the 8,562-TEU vessel Hyundai Global. In less than six months, since starting test operations on December 9 2016, Hutchison Ports Pakistan has broken the productivity record four times.
"In terms of our efficiency and productivity, we are now operating as well as any terminal operator around the world does," said CEO Captain Rashid Jamil.
RAPIDLY growing e-commerce along with advancements in logistics is lifting the cargo handling equipment market worldwide, says New York's Goldstein Research.
"Geographically, Asia-Pacific dominates the global cargo handling equipment market with more than 36 per cent share in 2016," said the Goldstein report entitled "Global Cargo Handling Equipment Market Outlook 2024".
More than 90 per cent of goods transported are containerised. Thus, to deal with the huge container traffic advanced cargo handling equipment is needed such as RTG cranes, forklifts and tractors, said its report.
"Marine ports and airports authorities are using rental equipments to ensure greater profitability coupled with implementation of advance technology cargo handling equipments.
"The global cargo handling equipment market accounted for US$62.5 billion in 2015 owing to growing e-commerce business across the world.
"In 2015 global e-commerce business accounted for $1.3 trillion. Global cargo handling equipment market share is projected to reach $89.4 billion by 2024, further; the market is expected to expand at 4.4 per cent from 2016 to 2024," said the report.
Global container port volume reached 700 million TEU in 2015 which is expected to expand with rising e-commerce. Geographically, Asia-Pacific dominates the global cargo handling equipments market with more than 36 per cent share in 2016, it said.
This market report also includes provides competitive outlook ABB Group, Liebherr Group, Kalmar Global, Toyota Industries Corporation, Hyundai Heavy Industries, Seehafen Wismar GmbH, Terex Corporation, JBT Corporation etc.
CHINA's air freight exports grew in July by just eight per cent, down from a first half average of 19 per cent when the country registered double-digit growth every month over that period. On the other hand, import growth remained strong at 21 per cent year on year.
According to WorldACD, the slowdown in China has not impacted the overall air cargo market, which continues to be buoyant when compared to its performance in recent years. High growth from Hong Kong, India, the UK, Singapore and the Netherlands kept the industry healthy, reported London's Loadstar.
Worldwide overall volume grew 11.8 per cent in July year on year, led by Europe (up 14.2 per cent), Middle East and South Asia (MESA), which was up 13.5 per cent, Asia Pacific (up 13 per cent), and South America and Africa stood at 3.6 per and 2.6 per cent respectively. While pharmaceuticals were the fastest-growing sector, up 17.6 per cent, general cargo outpaced other product categories at 12.6 per cent.
In July, worldwide yields registered year-on-year growth of 7.8 per cent in US dollars, with Asia Pacific achieving the best growth at 13.2 per cent.
QATAR-based maritime transport and logistics conglomerate, Milaha, is commencing a direct weekly service between the port of Karachi, Pakistan and Hamad port, Qatar.
The new service, called Pakistan Qatar Express service (PQX), will have a transit time of four days, making it the fastest direct connection between the two countries. The service will be operated by two 1,700 TEU vessels.
The PQX will also set up a second weekly service to and from Mundra, India, which will add to Milaha's existing Mundra call as part of the India Qatar Express service (IQX), reported The Medi Telegraph of Genoa, Italy.
The port rotation of the PQX is: Mesaieed, Mundra, Karachi, Hamad, Mesaieed rotation. The first vessel will depart from Karachi port on September 7 and arrive at Hamad port on September 11.
Commenting on the launch of the new service, Milaha's CEO Abdulrahman Essa Al-Mannai said: "We have been vigorously ramping up our operations between Qatar and key Asian markets in response to growing demand from traders, importers, and exporters on both sides.
"Our new PQX service will cater mainly to perishable products and other food stuff, and will increase options for customers in Pakistan and India to access Qatar and other Arabian Gulf markets. This is part of Milaha's ongoing commitment to support the growing trade between Qatar and its partners by delivering tailor-made, cost-efficient supply chain solutions."
Milaha currently calls at two ports in Oman (Sohar and Salalah), three ports in India (Nhava Sheva, Mundra, and Kandla), and one port in Kuwait (Shuwaikh), offering enhanced connectivity and transit times to Qatar and the region. The carrier is actively evaluating further expansion of services.
HYUNDAI Merchant Marine (HMM) is in talks with American global investment management firm, BlackRock, to invest between KRW600 billion and KRW1 trillion (US$527 million to $879 million) in the financially distressed carrier, the Korea Economic Daily reported, citing investment banking and shipping industry sources.
An HMM spokesperson told American Shipper that it has "had a talk with BlackRock, but nothing was definite yet."
If the deal materialises, the New York-based firm would become the second largest shareholder in HMM after the state-owned Korea Development Bank, according to the Korea Economic Daily.
The South Korean government has pumped KRW1.5 trillion into HMM to keep it afloat in the wake of the bankruptcy of Hanjin Shipping.
In the second quarter of this year HMM posted a loss of KRW173.7 billion, compared to a profit of KRW216 billion during the same period in 2016, according to a filing on the DART Repository of Korean Corporate Filings. Second quarter revenues were up 22 per cent year on year at KRW1.24 trillion on the back of higher volumes.
23 Aug, 2017 - Japanese loan for Cambodia to develop Sihanoukville port
THE Japan International Cooperation Agency (JICA) has signed an agreement with Cambodia to provide a loan of JPY23.5 billion (US$215.2 million) for a new container terminal at Sihanoukville, reports Fibre2Fashion.com of Bopal, India.
Sihanoukville is the only deepsea port in the country on the southern economic corridor, a road connecting Ho Chi Minh City, Phnom Penh and Bangkok.
The agreement aims to improve the logistics environment in Cambodia and promote trade, according to a JICA press release. The funds will be allocated to dredging, procurement of cargo-handling equipment, consulting services and the development of container terminal, access roads and marine routes.
The project will increase the container cargo handling capacity at the port, expected to become a logistics transfer hub for ASEAN to 450,000 TEU, one-and-a-half times current capacity.
Since 1999, Japan has provided continuous support for improving the infrastructure and enhancing the management capacity of the port. In June 2017, it acquired equities in the port authority of Sihanoukville.
AMENDMENTS to the Panama Canal tolls structure could enable containerships to pay less, while LNG and LPG carriers pay more.
The new structure, which has been approved by Panama's government, is scheduled to start on October 1. It comes in response to a recommendation from the Panama Canal Authority (ACP) board of directors aimed at safeguarding the competitiveness of the waterway.
For the containership segment, the approved tolls structure offers more attractive rates per loaded containers on the return voyage - applicable only to neopanamax vessels deployed on the canal route in the head and back haul legs.
Furthermore, it is applicable only when the utilisation rate of the northbound transit is higher or equal to 70 per cent, and the time lapse between the northbound and the southbound transit is not greater than 28 days, reported Fort Lauderdale's Maritime Executive.
To promote the use of the services provided within Panama's logistics hub, any additional days that the vessel requires to perform port-related activities in the Panamanian terminals will not add to the 28-day period.
Container/breakbulk vessels will be reclassified into the general cargo segment, thus resulting in more attractive tariffs, ACP was cited as saying. Additionally, the new structure modifies the tolls for to the liquefied natural gas (LNG) and liquid petroleum gas (LPG) segments, reflecting the changing demand for the route.
The current Panama Canal toll structure, which has been in place since April 1, 2016, calls for each vessel segment to be priced based upon different units of measurement. For example, containerships are measured and priced on TEU, and LNG and LPG vessels are based on cubic metres.
The current structure also includes, for the first time, a customer-loyalty programme for the container segment, where frequent container customers will receive premium prices once a particular TEU volume is reached.
AMSTERDAM Airport Schiphol, Europe's number three cargo airport, saw demand rise by 8.7 per cent year on year in the first half of 2017 to total 866,713 tonnes, driven by Far East traffic.
In terms of freighters, the airport welcomed an additional 153 full freighter flights in the first half, bringing the total to 8,954, reported London's Air Cargo News.
Half-year figures for the Far East were 154,866 tonnes for outbound, up 12.2 per cent year on year, with inbound figures improving by 8.3 per cent to 149,836 tonnes.
The airport's European figures were also boosted by demand originating in Asia, much of which transits Baku, Azerbaijan, and Moscow, Russia, to and from the Far East and Amsterdam.
Europe inbound figures for January to June were 60,320 tonnes, up 29.1 per cent, with Europe outbound figures at 61,641 tonnes, up 39.2 per cent.
A strong flower trade drove inbound Latin America volumes for January to June up to 59,817 tonnes, an increase of 31.4 per cent, while exports for the period stood at 35,275 tonnes, down 6.3 per cent.
Imports from Africa in the first half were down 3.5 per cent to 59,409 tonnes, and exports to the region declined by 15.3 per cent.
North American imports dropped 6.3 per cent year on year, although there was an improvement in June, to 72,739 tonnes during the year to date overall. Exports to the region continued to rise with a 10.5 per cent increase to 82,379 tonnes over the first six months.
Inbound Middle East figures for January-June decreased by 4.4 per cent to 43,557 tonnes, with outbound figures to the region for the first half of the year up seven per cent at 61,973 tonnes.
"We are pleased that our continued focus on developing innovative solutions, such as our Compliance Checker and the Milkrun, for our growing base of e-Commerce and pharma customers has helped to deliver strong growth in the first half of the year," said head of cargo at the airport, Jonas van Stekelenburg.
GAC's teams based in the UK and Russia have successfully delivered a mega shipment for pile driving and swaging works in the northern Caspian Yuri Korchagin oil field that one of Russia's largest oil companies is developing.
The shipment was delivered to LUKOIL subcontractor GT Sever (GT North) for the Korchagin field Stage II development. GAC was appointed to coordinate multiple loads totalling 500 tonnes of equipment from the UK, Netherlands and Germany.
The move included a block conductor and pile fastenings to be installed at the culmination of Stage II of marine operations development currently underway in the Russian sector of the North Caspian Sea, reported GAC's Hot Port News.
The time-critical operation started with pre-carriage pick-up of cargo from England and the Netherlands, with the last-minute addition of an out-of-gauge item from Germany, for delivery to Rotterdam.
GAC pulled out all the stops to obtain the required permits to enable the 20 units - the two heaviest of which weighed 105 tonnes each and were 15 metres long - to be loaded on to a vessel sailing for Poti in Georgia.
When it arrived 11 days later, the vessel could not berth for two days due to poor weather conditions. When the port reopened, the company arranged and supervised the direct uploading of the cargo using the ship's gear, onto waiting trucks at an alternative terminal. Then, the trucks started the final 900 km journey by road to Baku in Azerbaijan.
THE European Union Court of Justice fined Spain EUR3 million (US$3.4 million) for failing to deregulate the country ports, reports American Shipper.
Spain's attempts to end the closed shop system that dominates ports and harbours - as it does in major North American ports - have been met with crippling dock strikes with more planned for later this month.
While the court said Spain showed "goodwill in cooperating" with the investigation, Madrid still failed to deregulate stevedoring in Spanish ports 29 months after being so ordered.
The EU first urged Spain to deregulate in December of 2014, stating the nation was failing to comply with European stowage rules.
The European Commission called for a fine of EUR134,107 a day that Spain neglected to deregulate the ports, but the courts settled on a fine of EUR27,552 per day covering 108 days.
Madrid passed a new law on port stowage services, which aroused more labour obstruction, causing the imposition of the fine to be delayed.
The European Commission has also referred Spain to the court again for failure to implement EU rules on whistle-blowers. The 2014 rule on whistle-blowers is in response to infringements of the Market Abuse Regulation and requires nations to protect whistle-blowers and personal data.
JAPAN's "K" Line and its partners continue to make progress toward the establishment of One Network Express.
The world's sixth-largest liner shipping company was officially established in Tokyo with One Network Express (ONE) bringing together the container divisions of Japan's three major carriers in a joint venture that will start operating in April 2018.
"K" Line, MOL, and NYK established a holding company in Tokyo and an operating company in Singapore. ONE has the world's sixth-largest fleet, with 250 ships and a capacity of 1.38 million TEU, and the joint venture integrates the three companies' container shipping businesses, including their terminal operation businesses outside Japan.
The carriers had planned to set up the joint venture by July 1, but were delayed by regulatory setbacks. However, on July 3 the lines said in a statement that they had received all the approvals necessary to comply with local competition laws in regions where compliance was required. The only country to reject the liner shipping merger proposal was South Africa, but the carriers plan to appeal the ruling.
The US Federal Maritime Commission voted down the carriers' proposed "tripartite agreement," saying the Shipping Act of 1984 did not provide them authority to review and approve mergers, but the ONE carriers expect to secure permission to operate in the US by the time the new company starts operations in April next year.
The shareholding structure will have NYK holding 38 per cent and "K" Line and MOL each holding 31 per cent. MOL, NYK, and "K" Line are currently individual members of the vessel sharing agreement with Hapag-Lloyd-UASC and Yang Ming Line. The carriers have said they expect higher rates and greater container volume to come from the membership with THE Alliance, according to IHS Media.
CHINESE retail giant, ALIBABA.com, is offering suppliers in China the option of booking sea freight services online with guaranteed space and prices, an arrangement made possible by collaborating with Evergreen Line.
The Taiwanese shipping line has appointed Evergreen Logistics Corporation as a designated provider of customised, comprehensive logistics solutions for Alibaba.com members opting for its sea freight services, reported AJOT.
The growth of e-commerce has resulted in small, fragmented orders from global buyers. Taking note of the need for logistics services of smaller volume shippers, Evergreen Line is collaborating with Alibaba.com to allow shippers to search for freight rates and reserve cargo space on the Alibaba.com platform directly.
Once a booking is confirmed, the selected price is also locked-in. The rate will not alter regardless of how the market price changes.
In addition to this new direct booking facility, Evergreen Line is also responding to the needs of smaller shippers for one-stop logistics services by appointing Evergreen Logistics as a supplier of such services for Alibaba.com suppliers opting for Evergreen Line's sea freight services, contactable at the online booking point.
No matter if it is a trucking arrangement, customs clearance or documentation requirement, Evergreen Logistics can provide cost-effective and time-critical solutions to shippers who may not be familiar with such procedures.
At this initial stage of its partnership with Alibaba.com, Evergreen Line will be offering Alibaba.com suppliers the booking facility on routes from China's main ports to Israel and South American.
Israel service (FEM) - ports of loading: Shekou, Yantian; ports of discharge: Ashdod, Haifa in Israel. South America service (ESA) - ports of loading: Shanghai, Ningbo, Yantian; ports of discharge: Buenos Aires, Argentina; Montevideo, Uruguay; Brazilian ports including Itaguai, Santos, Paranagua, Navegantes, and Rio Grande.
For the WSA/WSA2 services the ports of loading are: Shanghai, Ningbo, Shekou, Yantian; ports of discharge: Buenaventura, Columbia; Guayaquil, Ecuador; Callao, Peru.
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